Accounting - Study Mode
[#1751] What is the main function of accounting?
Correct Answer
(C) Recording and classification of business transaction
[#1752] Assertion (A) The Partnership Act does not make it obligatory that a firm must a deed in writing. Reason (R) It is better to have it in writing to avoid confusion.
Correct Answer
(A) (A) is true, but (R) is false
[#1753] A budget which provides an estimated profit and loss account and a summary of all functional budgets is known as
Correct Answer
(C) Master budget
[#1754] Amalgamate adjustment account is opened in the books of transferee company to incorporate
Correct Answer
(C) the statutory reserves of the transferor company
[#1755] The capital of firm is Rs. 80,000. The normal rate of return is 7.5%. If the profit earned by the firm during the last five years is Rs. 8,000, Rs. 9000, Rs. 7000, Rs. 8,500 and Rs. 10,000 then the super profit of the firm will be.
Correct Answer
(B) Rs. 2,500